Abbott India Ltd logo

Abbott India Ltd

ABBOTINDIA NSE

Abbott India Ltd is one of the leading multinational pharmaceutical companies in India and sells its products through independent distributors primarily within India.[1] It was established in 1944.[2]

AI Verdict: BUY Confidence: 7%

Abbott India is a high-quality compounder with 35% ROE, zero debt, and 18% profit CAGR over 5 years. At 35.8x PE, valuation is rich but justified by consistency. The 17% stock price correction in the last year offers a reasonable entry point for long-term investors.

Key Fundamentals

MidcapPharmaceuticalsHealthcare
Market Cap
₹54,494 Cr
Volatility
Moderate
P/E Ratio
35.03
EBITDA
₹1,892 Cr
Return on Equity
32.48%
Debt to Equity
0.04
Book Value
₹2,246.68
EPS
₹583.05
52W High
₹37,000
52W Low
₹25,150

Technical Indicators

Key Insights

Strengths

3
  • Company is almost debt free.
  • Company has a good return on equity (ROE) track record: 3 Years ROE 35.0%
  • Company has been maintaining a healthy dividend payout of 69.6%

Weaknesses

2
  • Stock is trading at 11.4 times its book value
  • The company has delivered a poor sales growth of 9.96% over past five years.

Growth Rate

Revenue Growth
3.66% ↗
Net Income Growth
8.97% ↗
Cash Flow Change
-16.57% ↘
ROE
2.86% ↗
ROCE
-0.57% ↘
EBITDA Margin (Avg.)
-11.03% ↘

AI Analysis — Bull vs Bear

Anthropic anthropic claude-opus-4.6 3d ago
BUY
Risk medium

Abbott India is a high-quality compounder with 35% ROE, zero debt, and 18% profit CAGR over 5 years. At 35.8x PE, valuation is rich but justified by consistency. The 17% stock price correction in the last year offers a reasonable entry point for long-term investors.

Bull Case 8
  • Exceptional return on equity of 35% over 3 years and 34% over 5 years, indicating superior capital efficiency
  • Virtually debt-free balance sheet provides financial resilience and flexibility for future investments
  • Compounded profit growth of 18% CAGR over 5 years significantly outpaces sales growth, reflecting operating leverage and margin expansion
  • Healthy dividend payout ratio of 69.6% with a dividend yield of 2.51%, attractive for a growth company
  • Strong analyst consensus with 85.71% buy ratings (6 out of 7 analysts) and zero sell ratings
  • Consistent 10-year sales CAGR of 10% and profit CAGR of 20% demonstrates long-term business durability
  • TTM profit growth of 10% continues to outpace TTM sales growth of 8%, showing continued margin discipline
  • 10-year stock CAGR of 19% demonstrates sustained long-term wealth creation for shareholders
Bear Case 8
  • Stock trades at 11.63x price-to-book value, significantly above sector averages, leaving limited margin of safety
  • Sales growth of only 9.96% over 5 years indicates muted top-line momentum for a company at this valuation
  • Stock price has declined 17% over the last 1 year, underperforming broader market indices
  • PE ratio of 35.8x is demanding and prices in near-perfect execution with little room for earnings disappointment
  • 3-year stock CAGR of only 5% suggests the market has already re-rated the stock and further upside may be limited
  • TTM sales growth of 8% shows deceleration from the 5-year average of 10%, raising concerns about growth slowdown
  • Market cap of Rs 55,461 crore for a single-digit revenue growth company implies stretched valuations relative to growth
  • MNC pharma subsidiary structure limits strategic flexibility and capital allocation decisions are parent-driven

This is AI-generated analysis, not financial advice. Do your own due diligence.

AI News Digest

Anthropic anthropic claude-opus-4.6 14h ago
Headwinds 1
  • Stock down 17.6% over past year Jun 17

    Abbott India shares declined 6.6% over the past month and 17.6% over the last year, indicating sustained short-term weakness despite the dividend announcement.

Positives 3
  • Massive 5,250% dividend declared Jun 17

    Abbott India declared a total dividend of ₹525 per share (final) plus ₹131 special dividend for FY26, with July 24 record date and payment expected after August 18, 2026. An investor holding 100 shares would receive ₹52,500.

  • Two new directors appointed Jun 17

    Abbott India appointed Mr. James Wenner and Mr. Neeraj Jain as directors via postal ballot with over 99.99% shareholder approval, signaling strong governance confidence.

  • Strong long-term returns Jun 17

    Despite recent weakness, Abbott India delivered 15% gain over 3 years, 59% over 5 years, and 489% return over the past decade.

Neutral 1
  • Dividend record date compliance details Jun 15

    Abbott India detailed TDS compliance requirements under the Income Tax Act, 2025 for the dividend record date of July 24, 2026.

TL;DR: Abbott India is rewarding shareholders with one of the pharma sector's largest dividend payouts at ₹656 per share total, reflecting strong cash generation. The key risk is persistent stock price weakness with a 17.6% decline over the past year. Governance remains solid with near-unanimous board appointments. The approaching ex-dividend date on July 24 could provide a near-term catalyst, but investors should watch whether post-dividend price action stabilizes the broader downtrend.

Quarterly Results

  Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Sales
1,343
1,479
1,494
1,437
1,439
1,558
1,633
1,614
1,605
1,738
1,757
1,724
1,710
Expenses
1,063
1,124
1,113
1,049
1,109
1,167
1,194
1,178
1,176
1,293
1,255
1,261
1,229
Operating Profit
280
355
381
388
330
391
439
436
429
446
502
463
481
OPM %
21%
24%
25%
27%
23%
25%
27%
27%
27%
26%
29%
27%
28%
Other Income
50
56
56
56
81
67
60
72
76
73
70
70
76
Interest
4
3
3
3
3
3
2
2
4
6
8
5
6
Depreciation
17
17
18
18
18
18
18
18
18
19
19
19
19
PBT
308
390
415
422
390
437
479
488
483
493
546
509
531
Tax %
25%
26%
25%
26%
26%
25%
25%
26%
24%
26%
24%
26%
26%
Net Profit
231
290
313
311
287
328
359
361
367
366
415
376
395
EPS in Rs
109
137
147
146
135
154
169
170
173
172
195
177
186
Figures in ₹ Crores

Profit & Loss

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Sales
2,289
2,614
2,903
3,298
3,679
4,093
4,310
4,919
5,349
5,849
6,409
6,929
Expenses
1,977
2,250
2,505
2,774
3,074
3,336
3,388
3,832
4,143
4,396
4,714
5,037
Operating Profit
312
365
398
525
605
757
922
1,088
1,206
1,453
1,695
1,892
OPM %
14%
14%
14%
16%
16%
18%
21%
22%
23%
25%
26%
27%
Other Income
48
50
57
117
113
114
81
77
154
248
275
288
Interest
0
3
2
4
2
9
18
19
16
12
11
25
Depreciation
15
14
16
16
17
60
58
66
70
71
72
76
PBT
344
398
436
621
699
803
926
1,080
1,274
1,618
1,887
2,079
Tax %
34%
36%
37%
35%
36%
26%
25%
26%
25%
26%
25%
25%
Net Profit
229
255
277
401
450
593
691
799
949
1,201
1,414
1,552
EPS in Rs
108
120
130
189
212
279
325
376
447
565
666
730
Div. Payout %
29%
29%
31%
29%
31%
90%
85%
73%
73%
73%
71%
65%
Figures in ₹ Crores

Balance Sheet

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Equity Capital
21
21
21
21
21
21
21
21
21
21
21
21
Reserves
916
1,174
1,366
1,672
1,987
2,410
2,581
2,799
3,167
3,678
4,212
4,753
Borrowings
0
0
0
0
0
175
153
152
113
83
197
172
Other Liabilities
436
421
679
723
932
940
1,086
1,253
1,254
1,411
1,487
1,556
Total Liabilities
1,374
1,616
2,066
2,416
2,941
3,547
3,840
4,224
4,556
5,193
5,917
6,502
Fixed Assets
96
108
110
81
105
270
251
271
237
225
336
331
CWIP
4
3
6
2
1
2
1
1
4
10
18
6
Investments
0
0
0
0
0
0
0
0
0
0
0
0
Other Assets
1,274
1,505
1,950
2,333
2,835
3,275
3,589
3,952
4,315
4,958
5,563
6,165
Total Assets
1,374
1,616
2,066
2,416
2,941
3,547
3,840
4,224
4,556
5,193
5,917
6,502
Figures in ₹ Crores

Cash Flow

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Operating
215
249
307
153
499
626
727
948
893
1,213
1,012
1,319
Investing
-187
-77
-155
-215
-257
-401
-72
-396
-148
-416
182
-371
Financing
-58
-80
-90
-102
-143
-217
-582
-637
-639
-745
-925
-1,066
Net Cash Flow
-30
91
62
-165
99
8
73
-86
107
52
269
-118
Free Cash Flow
199
226
287
180
504
611
704
904
860
1,165
960
1,307
CFO/OP
106
109
117
68
125
113
104
114
102
111
86
98
Figures in ₹ Crores

Ratios

  Mar 2015Mar 2016Mar 2017Mar 2018Mar 2019Mar 2020Mar 2021Mar 2022Mar 2023Mar 2024Mar 2025Mar 2026
Debtor Days
21
20
22
29
27
28
21
21
22
20
22
19
Inventory Days
107
91
107
112
106
83
110
94
80
70
92
94
Days Payable
54
56
101
92
116
104
116
122
109
114
110
109
Cash Conversion Cycle
74
54
28
49
17
8
14
-6
-8
-24
3
3
Working Capital Days
30
32
21
63
22
10
4
-7
-8
-14
97
2
ROCE %
40%
38%
34%
41%
37%
35%
35%
38%
41%
46%
46%
45%

Shareholding Pattern

As of Mar 2026
Promoters 74.99%
Public 13.38%
DIIs 8.93%
Others 2.43%
FIIs 0.26%
Total 99.99%
  Mar 2021Jun 2021Sep 2021Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Dec 2023Mar 2024Jun 2024Sep 2024Dec 2024Mar 2025Jun 2025Sep 2025Dec 2025Mar 2026
Promoters
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
74.99%
FIIs
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.18%
0.18%
0.18%
0.16%
0.16%
0.16%
0.16%
0.16%
0.18%
0.26%
DIIs
4.60%
5.80%
4.30%
4.20%
4.96%
5.24%
7.73%
8.39%
8.62%
8.67%
8.71%
8.74%
8.91%
8.81%
8.99%
9.01%
8.92%
9.19%
9.11%
9.00%
8.93%
Government
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
Public
16.15%
15.83%
15.60%
15.81%
15.15%
14.72%
14.60%
14.25%
14.07%
13.95%
13.89%
13.97%
13.80%
13.86%
13.65%
13.59%
13.66%
13.35%
13.43%
13.42%
13.38%
Others
4.26%
3.38%
5.11%
5.01%
4.91%
5.06%
2.68%
2.37%
2.32%
2.39%
2.42%
2.13%
2.12%
2.16%
2.21%
2.25%
2.28%
2.31%
2.31%
2.42%
2.43%
No. of Shareholders
0
84,478
75,540
73,417
83,236
90,567
82,113
83,526
72,086
69,582
68,885
72,252
69,382
71,588
69,449
67,892
69,934
67,584
71,199
75,801
75,866

Documents

Frequently Asked Questions about Abbott India Ltd

What does Abbott India Ltd do?
Abbott India Ltd is one of the leading multinational pharmaceutical companies in India and sells its products through independent distributors primarily within India.[1] It was established in 1944.[2]
Where is Abbott India Ltd (ABBOTINDIA) listed?
Abbott India Ltd is listed on the Indian stock exchanges. It is listed on NSE: ABBOTINDIA and BSE: 500488. You can view its live share price, financials, and ratios on Tapetide.
Which sector does Abbott India Ltd belong to?
Abbott India Ltd operates in the Healthcare sector within the Pharmaceuticals & Biotechnology industry. Sector classification helps investors compare companies affected by similar economic conditions and regulatory changes.
What is the market capitalisation of Abbott India Ltd?
Abbott India Ltd has a market capitalisation of approximately ₹54493.83 Cr. Based on this, it is classified as a Large Cap stock.
What is the PE ratio of Abbott India Ltd?
The Price-to-Earnings (PE) ratio of Abbott India Ltd is 35.03. The PE ratio compares a company's share price to its earnings per share and is commonly used to assess whether a stock is overvalued or undervalued relative to its peers.
What is the 52-week high and low of Abbott India Ltd?
Over the past 52 weeks, Abbott India Ltd has traded between a low of ₹25,150 and a high of ₹37,000. This range helps investors understand the stock's price volatility and recent trading levels.
Does Abbott India Ltd pay dividends?
Yes, Abbott India Ltd has a dividend yield of 2.56%. Dividend yield indicates the annual dividend income relative to the share price. A consistent dividend history can signal financial stability.
What is the Return on Equity (ROE) of Abbott India Ltd?
Abbott India Ltd has a Return on Equity (ROE) of 32.48%. ROE measures how effectively a company uses shareholders' equity to generate profits. A higher ROE generally indicates better capital efficiency.
How can I research Abbott India Ltd on Tapetide?
On Tapetide, you can view Abbott India Ltd's live share price, quarterly results, profit & loss statements, balance sheet, cash flow, key ratios, shareholding pattern, technical indicators, analyst ratings, and forecasts — all on a single page without needing to sign up.

Company Information

Abbott India Ltd is one of the leading multinational pharmaceutical companies in India and sells its products through independent distributors primarily within India.[1] It was established in 1944.[2]

Website abbott.co.in
CEO Mr. Kartik Rajendran
Employees 3,659
Listed 2010-01-08
Face Value ₹ 10
Issued Size 2,12,49,302

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